DELAWARE- Delaware lawmakers have unveiled a proposed Fiscal Year 2027 budget that directs significant funding toward education, healthcare, state employee compensation and public safety.
Joint Finance Committee Chair Sen. Trey Paradee and Co-Chair Rep. Kim Williams said the spending plan reflects the state's priorities while maintaining budget reserves and reducing certain costs.
“This year’s budget is, simply put, a reflection of our values,” Paradee said.
The proposal includes $146.9 million for state employee pay and benefits, including a 3% raise for merit employees and additional compensation increases for many educators. It also sets aside funding to maintain health insurance benefits for state workers and retirees.
According to lawmakers, healthcare investments include $128.5 million to address growing Medicaid costs. The proposal includes additional funding for developmental disability services, correctional healthcare and support for hospitals.
Education remains one of the largest areas of spending, with more than $2.5 billion proposed for Delaware's pre-K through 12 schools. Lawmakers say the budget allots for $26 million in school operating funds that were reduced in 2018 and continues support for early literacy programs and student housing assistance.
The proposal also invests $26.4 million in child care programs and includes funding for higher education, workforce training and Delaware State University operations.
A separate one-time supplemental spending plan would provide $146 million for statewide projects and initiatives, including $100 million to support Delaware's transition to a weighted school funding formula, as well as funding for elections, early childhood education and classroom grants.
“This budget represents smart and responsible growth that invests in communities throughout our state,” Williams said.
The operating budget and supplemental spending bills are expected to be filed later this month following the June meeting of the Delaware Economic and Financial Advisory Council.
